China Launches Global AI Organization to Compete with U.S. in $4.8 Trillion Tech Race

China Launches Global AI Body to Rival the U.S. in $4.8 Trillion Tech Race

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At China’s flagship World AI Conference in Shanghai, spectacle met strategy as humanoid robots boxed in the ring while policymakers wrestled with a far weightier contest: who will set the rules for artificial intelligence in the coming decades. Against the backdrop of the US-China tech rivalry, Beijing unveiled its latest bid to shape the global AI agenda, the creation of the World AI Cooperation Organization, a body aimed at fostering safe and inclusive adoption of AI technologies.

Chinese Premier Li Qiang warned delegates about the dangers of monopoly in AI and urged greater cooperation, particularly among developing nations. His remarks framed China as a champion of accessibility, positioning its model against U.S. dominance. The initiative could also give Chinese firms an advantage in a market projected to reach $ 4.8 trillion by 2033, especially in regions where US chipmakers hold sway but Chinese companies offer more affordable, infrastructure-light solutions.

Over 800 AI firms from more than 70 countries attended the event, according to China’s Ministry of Foreign Affairs. Representatives included nations across the Global South, from Ethiopia and Cuba to Bangladesh and Pakistan, alongside European delegations from France, Germany, and the Netherlands. Notably absent was the United States, underscoring intensifying geopolitical fault lines.

Beijing’s strategy mirrors its Digital Silk Road playbook, which expanded Chinese influence in global telecom networks through companies like Huawei. By embedding its firms into international AI governance, China seeks both to expand market share and to reshape standards in its favor. Experts note this approach resonates with lower-income countries, which see in China’s AI offerings a practical path to leapfrog costly infrastructure barriers.

The US, meanwhile, has doubled down on its determination to lead. Former President Donald Trump pledged Washington would do whatever it takes, including countering Beijing’s influence in global governance forums. The rivalry extends beyond economics to national security, with both powers racing to develop systems that could rival human intelligence.

Still, voices at the Shanghai conference, including AI pioneer Geoffrey Hinton, stressed the urgency of global cooperation on safety. For many nations, the debate is less about choosing sides and more about striking a balance, as South Africa’s communications minister Solly Malatsi put it. It’s not a case of one model over the other, it’s about integrating the best of both worlds.